Security Alarm Services in Canada Industry Market Research Report from IBISWorld Has Been Updated

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In addition to growth in the number of business and rising disposable income, rising housing starts are expected to boost revenue. For these reasons, industry research firm IBISWorld has updated a report on the Security Alarm Services industry in its growing industry report collection.

Demand for industry services will grow in line with an improving economy.

New York, NY (PRWEB)December 28, 2013

The Security Alarm Services industry comprises establishments that sell security systems, such as surveillance equipment, fire alarms and locking devices, and offers installation, repair or monitoring services of electronic security alarm systems. The industry is expected to grow, bolstered by the rise in the number of businesses and disposable income. “Since businesses and commercial clients account for the largest share of industry revenue, growth in the number of business is expected to improve growth prospects for industry operators,” according to IBISWorld Industry Analyst Stephen Morea. Additionally, as disposable income continues to rise, security alarm services are expected to become relatively more affordable, and thus residential clients will be more likely to purchase them. IBISWorld expects industry revenue to grow at an annualized rate of 3.1% to $722.2 million over the five years to 2013, lifted by an estimated 1.4% increase in 2013.

The Security Alarm Services industry is comprised of two segments: employers and nonemployers. Employers, industry operators that employ part-time or full-time labour, account for an estimated 59.6% of industry establishments; however, this segment is expected to increase as demand continues to rise. “Employers benefit from having greater purchasing power over their upstream suppliers, which allows them to negotiate lower prices, and thus bolster profit margins,” says Morea. On the other hand, nonemployer's share of establishments is expected to decline as they hire labour to keep pace with the rising demand for security alarm services.

Over the five years to 2018, industry revenue is expected to continue trending higher. In addition to growth in the number of business and rising disposable income, rising housing starts are expected to boost revenue. The residential client market (the industries second-largest market) is expected to benefit as housing construction increases. Although growth prospects for industry operators are bright, the industry is expected to face potential hurdles. Crime rates are expected to fall over the five years to 2018, which will likely cause businesses and residents to defer purchases on security alarm services. Nevertheless, this is not expected to halt revenue growth.

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.